Assessing the Climate Impact and Expansion Potential of On-Demand Storage in the Housing and Construction Sector : A case study on Vinden AB

Abstract: The housing and construction sector is responsible for 40% of global greenhouse gas (GHG) emissions, making it crucial for achieving the Paris Agreement goals. One of the most effective ways to mitigate emissions in this sector is by optimizing the use of existing building stock and minimizing the construction of new houses. Through enhanced space efficiency, the on-demand storage service has the potential to decrease the demand for new construction and thereby reduce GHG emissions by converting existing attic spaces in inner-city areas to additional apartments. However, the service introduces additional emissions from its operations and for the service to have a significant impact on reducing construction needs, it must expand on a large scale and be integrated in the housing stock. The aim is to quantify the operational emissions and potential emissions avoided through a theoretical large-scale expansion of the on-demand storage service, to determine the potential net impact. Secondly, it aims to explore the opportunities and barriers to the concept's large-scale expansion within the housing and construction sector. Both quantitative and qualitative methods are utilized. The quantitative approach involves modeling emissions and potential reductions for large-scale expansion, while the qualitative method consists of 12 interviews with various stakeholder groups. Rogers' diffusion of innovation theory guides the analysis of qualitative findings. The results indicate that the on-demand storage service can potentially reduce overall GHG emissions if implemented on a large scale, due to the potential emissions avoided surpassing the operational emissions associated with the service by a large margin. The utilization of collective storage in warehouses, which offers superior space efficiency compared to traditional attic storage, is the key factor behind this outcome. By connecting this service to an entire apartment building, there is an opportunity to repurpose existing attic storage spaces into additional new apartments, thereby decreasing the need for constructing new buildings and effectively mitigating emissions in the housing and construction sector. However, the diffusion rate of the concept is assessed as modest due to significant barriers, particularly current regulations and a lack of market pull. While there are noteworthy opportunities such as potential economic benefits for customers and the ability to function as a circular economy platform, these opportunities are not as prominent as the existing barriers. This study represents an initial exploration of the on-demand storage concept, emphasizing its eco-potential and the need for regulatory revisions. It provides an assessment of the climate impact, barriers, and opportunities for the expansion of the storage concept within the housing and construction sector. However, further academic and practical work is required to better understand the concept's interaction with cities and society. On-demand storage has the potential to enhance space efficiency and reduce the environmental impact of housing and construction. Continued exploration of this concept paves the way for a more sustainable and efficient future in urban living.